Services-Prepackaged Software · SIC 7372

Paycom Software, Inc.

PAYC

Watch

Latest revenue

$571.9M

as of 2026-03-31

Latest net income

$155.7M

as of 2026-03-31

Net margin

27.2%

as of 2026-03-31

Price · 5Y

-15.7% / yr 29.4 pts / yr vs S&P 500 57.2% total
Compare:

Live market

delayed ≤15 min
$137.80
2.57%
Market cap
$6.56B
Enterprise value
$6.22B
P/E (trailing)
14.5×
Forward P/E
P/B
3.84×
Dividend yield
1.1%
52-wk high
$267.76
52-wk low
$104.90
Beta
Shares out
47.6M

5-year trend

What this company does

AI

Paycom sells cloud-based payroll and human capital management software that lets companies handle hiring, payroll, time tracking, and benefits in one system. It earns money mainly from recurring subscription fees tied to employee headcount, plus interest on client payroll funds it temporarily holds. Recurring revenue grew about 11% year-over-year to $1.42 billion for the nine months, and the company is aggressively buying back stock, repurchasing $263 million of shares in 2025.

Generated from PAYC's filing dated 2026-02-19

Key risks

AI
  • Operating margin compression: 9M operating income fell to $410.1M from $485.8M YoY despite revenue rising 8.5%, as G&A more than doubled to $207.8M.
  • Float income exposure: interest on client funds dropped to $85.8M (from $95.9M) and client funds balance halved to $1.82B, pressuring rate-sensitive revenue.
  • Earnings quality: 9M results include a $35.6M one-time gain on naming rights modification and $41.3M Q3 'other income'; core EPS weaker than headline $6.02.

Generated from PAYC's filing dated 2026-02-19

Profitability

Operating margin

27.6%

17.9%

Net margin

22.1%

17.1%

Return on equity

26.2%

17.8%

Return on assets

6.0%

30.3%

Leverage

Debt / equity

3.39×

24.6%

Long-term debt / equity

0.02×

20.0%

Debt / assets

77.2%

5.6%

Earnings tracker

QuarterRevenueYoYNet incomeYoYNet margin

Q1 2026

2026-03-31

$571.9M+7.8%$155.7M+11.7%27.2%

Q4 2025

2025-12-31

$544.3M+10.2%$113.8M+0.2%20.9%

Q3 2025

2025-09-30

$493.3M+9.2%$110.7M+51.1%22.4%

Q2 2025

2025-06-30

$483.6M+10.5%$89.5M+31.7%18.5%

Q1 2025

2025-03-31

$530.5M+6.1%$139.4M-43.6%26.3%

Q4 2024

2024-12-31

$493.9M$113.6M23.0%

Q3 2024

2024-09-30

$451.9M+11.2%$73.3M-2.6%16.2%

Q2 2024

2024-06-30

$437.5M+9.1%$68.0M+5.4%15.5%

Year-over-year change vs the same fiscal quarter one year prior. Revenue + net income sourced from SEC 10-Q / 10-K filings — no analyst-consensus dependency.

Industry trend

Services-Prepackaged Software · SIC 7372

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Insider activity

Insider buying

$0

Insider selling

$9.8M

Net activity

−$9.8M

Distinct insiders

4

Open-market trades over the last 365 days.

Recent transactions

DateInsiderTypeSharesPriceValue
2026-05-18

Randall Peck

Chief Operating Officer

Sale2,500$140.50$351.3K
2025-12-10

Robert D. Foster

Chief Financial Officer

Sale1,300$162.66$211.5K
2025-12-05

Randall Peck

Chief Operating Officer

Sale1,442$165.50$238.7K
2025-12-05

Randall Peck

Chief Operating Officer

Sale6$166.50$999
2025-12-05

Randall Peck

Chief Operating Officer

Sale744$166.52$123.9K
2025-09-12

Bradley Scott Smith

Chief Information Officer

Sale586$222.54$130.4K
2025-09-12

Bradley Scott Smith

Chief Information Officer

Sale752$223.47$168.0K
2025-09-12

Bradley Scott Smith

Chief Information Officer

Sale138$224.82$31.0K
2025-09-12

Bradley Scott Smith

Chief Information Officer

Sale24$225.69$5.4K
2025-06-12

Bradley Scott Smith

Chief Information Officer

Sale65$246.92$16.0K
2025-06-12

Bradley Scott Smith

Chief Information Officer

Sale97$247.88$24.0K
2025-06-12

Bradley Scott Smith

Chief Information Officer

Sale131$249.03$32.6K
2025-06-12

Bradley Scott Smith

Chief Information Officer

Sale880$250.16$220.1K
2025-06-12

Bradley Scott Smith

Chief Information Officer

Sale289$250.75$72.5K
2025-06-12

Bradley Scott Smith

Chief Information Officer

Sale19$252.36$4.8K
2025-06-12

Bradley Scott Smith

Chief Information Officer

Sale19$253.61$4.8K
2025-06-05

Chad R. Richison

CEO, President and Chairman

Sale6,700$265.31$1.8M
2025-06-05

Chad R. Richison

CEO, President and Chairman

Sale100$266.15$26.6K
2025-06-04

Chad R. Richison

CEO, President and Chairman

Sale23,200$265.20$6.2M
2025-06-04

Randall Peck

Chief Operating Officer

Sale890$263.21$234.3K

Source: SEC Form 4 filings. Officers, directors, and 10%+ owners must disclose share transactions within two business days. RSU grants and tax-withholding rows are excluded by default — compensation activity is not a trading signal.

Who owns PAYC

Institutional value

$3.02B

Total shares held

25.3M

Distinct holders

403

As of

2026-03-31

Filers with $100M+ AUM disclose holdings 45 days after quarter end.

Top institutional holders

#ManagerSharesValueQoQ changeAction
1BlackRock, Inc.6.0M$734.2MNew
2VANGUARD PORTFOLIO MANAGEMENT LLC2.4M$290.6MNew
3VANGUARD CAPITAL MANAGEMENT LLC2.1M$255.6MNew
4BAILLIE GIFFORD & CO1.5M$186.8MNew
5REINHART PARTNERS, LLC.1.0M$123.5MNew
6FIRST TRUST ADVISORS LP881.9K$107.2MNew
7LORING WOLCOTT & COOLIDGE FIDUCIARY ADVISORS LLP/MA769.6K$87.4MNew
8Universal- Beteiligungs- und Servicegesellschaft mbH657.1K$79.9MNew
9FEDERATED HERMES, INC.609.1K$74.0MNew
10River Road Asset Management, LLC539.2K$65.5MNew
11DIMENSIONAL FUND ADVISORS LP538.4K$65.4MNew
12UBS Group AG506.2K$61.5MNew
13CONFLUENCE INVESTMENT MANAGEMENT LLC407.7K$49.6MNew
14Boston Trust Walden Corp346.0K$42.0MNew
15Bank of New York Mellon Corp337.2K$41.0MNew
16Sather Financial Group Inc310.7K$37.8MNew
17VANGUARD FIDUCIARY TRUST CO305.3K$37.1MNew
18JANE STREET GROUP, LLC246.1K$29.9MNew
19PRINCIPAL FINANCIAL GROUP INC243.8K$29.6MNew
20BNP PARIBAS FINANCIAL MARKETS240.4K$29.2MNew

Source: SEC Form 13F-HR. Positions aggregated across sub-managers within each firm. Options (puts/calls) excluded — common stock only.

Top questions investors are asking

AI
  1. 1

    Operating income fell to $410M from $486M YTD despite 8.5% revenue growth—how much of the 9-month G&A jump to $208M from $93M is recurring versus one-time?

  2. 2

    Funds held for clients dropped from $3.67B to $1.82B and interest revenue fell 11%—what's driving the float collapse and when does it stabilize?

  3. 3

    You repurchased $263M in stock YTD versus $138M last year while cash declined—is this signaling slowing organic reinvestment opportunities amid intensifying Rippling/ADP competition?

Refreshed when PAYC files a new report · last from 2026-02-19